State Will Keep Pressing for Fair Tariffs
Federal Ruling Boosts Receipts by $440 million
FOR IMMEDIATE RELEASE No. 09-99
State Will Keep Pressing for Fair TAPS Tariff Rates
Federal ruling increases oil tax and royalty receipts by $440 million
April 28, 2009, Juneau, Alaska – Governor Sarah Palin and Acting Attorney General Rick Svobodny applauded a ruling by the Federal Energy Regulatory Commission (FERC) on protests by the state and Anadarko of the Trans-Alaska Pipeline System (TAPS) interstate rates for 2007 and 2008.
The FERC ruling will result in additional production tax and royalty payments to the state of an estimated $440 million later this year. This is in addition to the approximately $200 million in refunds awarded the state under a previous FERC ruling on protests of TAPS tariffs for 2005 and 2006. Future TAPS rates will have to comply with FERC precedent.